Chatbots increase recruitment opportunities

Job-seeking firm FirstJob debuted a recruitment chatbot called Mya on Monday, according to Venture Beat.

The chatbot — which the firm says will automate roughly 75% of the recruitment process — uses a combination of artificial intelligence and natural language processing (NLP) to vet job applicants based on factors like qualifications and extra curricular activity, and to answer applicant questions regarding company culture, policies, and benefits. This will streamline the overall recruitment process, freeing up time for human agents to close deals and finish contracts.

Early trials of Mya found that applicants who engaged with the chatbot were over three times more likely to hear back from a recruiter or hiring manager. The chatbot works natively within FirstJob's site and on other channels, including Messenger, Skype, email, and SMS.

The bot keeps applicants updated on the overall process, meaning that recruiters do not have to worry about maintaining that relationship. At the end of the process, Mya ranks applicants in terms of qualifications, recent activities, and engagement, among other metrics, which human agents use to make hiring decisions.

The use of chatbots like Mya presents a unique opportunity for businesses by significantly cutting labor costs. While complete automation of the customer service workforce is not feasible, automating customer management and sales positions in the US (where possible) through chatbots and other automation technologies would result in considerable savings, according to BI Intelligence estimates.

And 29% of customer service positions in the US could be automated through chatbots and other tech, according to Public Tableau. We estimate that this translates to $23 billion in savings from cutting annual salaries alone. This figure excludes potential savings from other workforce costs, like health insurance.

Advancements in artificial intelligence, coupled with the proliferation of messaging apps, are fueling the development of chatbots — software programs that use messaging as the interface through which to carry out any number of tasks, from scheduling a meeting, to reporting weather, to helping users buy a pair of shoes.

Foreseeing immense potential, businesses are starting to invest heavily in the burgeoning bot economy. A number of brands and publishers have already deployed bots on messaging and collaboration channels, including HP, 1-800-Flowers, and CNN. While the bot revolution is still in the early phase, many believe 2016 will be the year these conversational interactions take off.

Laurie Beaver, research associate for BI Intelligence, Business Insider's premium research service, has compiled a detailed report on chatbots that explores the growing and disruptive bot landscape by investigating what bots are, how businesses are leveraging them, and where they will have the biggest impact.

The report outlines the burgeoning bot ecosystem by segment, looks at companies that offer bot-enabling technology, distribution channels, and some of the key third-party bots already on offer. The report also forecasts the potential annual savings that businesses could realize if chatbots replace some of their customer service and sales reps. Finally, it compares the potential of chatbot monetization on a platform like Facebook Messenger against the iOS App Store and Google Play store.

Here are some of the key takeaways:

AI has reached a stage in which chatbots can have increasingly engaging and human conversations, allowing businesses to leverage the inexpensive and wide-reaching technology to engage with more consumers.

Chatbots are particularly well suited for mobile — perhaps more so than apps. Messaging is at the heart of the mobile experience, as the rapid adoption of chat apps demonstrates.

Chatbots could be lucrative for messaging apps and the developers who build bots for these platforms, similar to how app stores have developed into moneymaking ecosystems.

In full, the report:

Breaks down the pros and cons of chatbots.

Explains the different ways businesses can access, utilize, and distribute content via chatbots.

Forecasts the potential impact chatbots could have for businesses.

Looks at the potential barriers that could limit the growth, adoption, and use of chatbots.

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